cial Management FIN4604 B51 1228 Gabriela Prieto Mylab Chapter 14 Question 5, Problem 14-8 HW Scores 20%,1 of 5 points (algorithmic) Points: 0 of 1 Petrol lbedrico. Petrol lberico, a European gas company, is borrowing $800,000,000 via a syndicated ourocredit for six years at 120 basis points over LBOR. LIBOR for the loan will be reset every six months. The funds will be provided by a syndicate of eight leading investiment bankers, which will charge up-front foes totaling 1.5% of the principal amount. What is the effective interest cost for the first yoar if the annual LIBOR is 4.10% during the first six months and 4.30% during the second six months. The etlective interest cost for the first year is V. (Round to two decimal places.)